“Saudi Tadawul” announces the modernization of the mechanism for executing main market orders and “Nomu”

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Today, Thursday, Saudi Tadawul announced the update of the market order mechanism in the main market and Nomu - the parallel market, with the update being implemented as of Sunday, October 4.

It stated in a statement on its website: “Under the new mechanism, a market order is allowed to be executed against available quantities across multiple price levels, within a maximum range of five price change units starting from the best available price.”

She continued: “When this range is reached, or if there are no additional quantities available within it, any remaining unexecuted quantity will be converted into a limit order at the last execution price.”

While the previous mechanism allowed the execution of a market order against the available quantity at the best available price, and any remaining unexecuted portion is converted into a limit order at the price of the executed portion.

Saudi Tadawul explained that this update aims to increase the amount that can be executed immediately from a market order, by providing access to additional liquidity within the range of five price change units. Accordingly, a market order may be executed across more than one price level rather than a single price level.

The update includes securities in the main market and the growth of the parallel market only, while the derivatives market remains unchanged.

Executive Director of Saudi Tadawul, Mohammed Al-Rumaih, said: “As part of our ongoing efforts to develop the Saudi financial market, modernizing the mechanism for executing orders in the market is an important step to enhance efficiency in order to serve the aspirations of investors and participants, and to establish higher levels of reliability and transparency. This modernization also reflects our commitment to enhancing the market’s readiness for future developments, in a way that supports its growth and competitiveness at the regional and international levels.”

The update to the market order mechanism complements recent developments in the market, including structural improvements to the financial derivatives market. This confirms Saudi Tadawul’s commitment to continuing to raise market efficiency, support liquidity, and expand the scope of participation.

In a separate statement, the Saudi Tadawul Company announced the issuance of a decision by its Board of Directors including the approval of the following: Amended trading and membership procedures.

It stated that the amendments to trading and membership procedures aim to develop the established mechanism for executing market orders.

She indicated that the amended procedures will be implemented on Sunday, October 4, 2026.